branches, the prevention of external fraud as part of Customer Due Diligence, and management
of compliance risks. The ACRC discusses the management information on credit, market and
operational risk on a quarterly basis. The ACRC talked about the follow-up to the outcome of a
mortgage survey performed earlier by the Authority for the Financial Markets, the annual
risk assessment by the Dutch Central Bank of strategic, operational, credit and compliance risk,
and about the outcome of the stress tests of European banks conducted by the European
Banking Authority.
The ACRC approved the Audit Plan Rabobank Group 2012 and discussed the quarterly reports
prepared by Group Audit. As part of the annual procedure, the Committee also met with the
independent external auditor and Group Audit without the Executive Board being present, and
performed a self-assessment. It was decided in mid-2011 no longer to discuss ICT-related
issues in the ACRC first, but to table them directly in plenary sessions of the Supervisory Board.
Cooperative Affairs Committee
The Cooperative Affairs Committee (CAC) helps the Supervisory Board prepare for its decision
making in relation to its supervision of the Executive Board's policy plans regarding the
cooperative structure of the local Rabobanks and Rabobank Nederland. This Committee
also makes preparations for the Supervisory Board's decision-making on corporate social
responsibility (CSR).
In 2011, the issues looked at by the CAC included the structure of the new Cooperative and
Sustainability department, which was a merger of the Cooperative and Governance and CSR
departments, as well as addressing the training programme for supervisory committee members
of local Rabobanks. The CAC also discussed progress made on the Strategic Framework and the
division of responsibilities between the local Rabobanks and Rabobank Nederland, and the
structure of Rabobank Nederland in the long run. In addition, further developments in CSR
policy were the subject of extensive debate. The CAC also talked about the sustainability
sections of various reports and of the Annual Report 2010, and exchanged ideas with the
Executive Board about the further implementation of CSR targets in the bank's operations.
Furthermore, the CAC considered Rabobank's role and position as a global food and agri bank,
and educated itself about developments in world food prices and the potential impact of water
shortages on the global food supply. The CAC also explored the design and effectiveness of
the Rabobank Project Fund and learned about complaint management. Finally, the CAC spoke
about 2012 having been named the International Year of the Cooperative by the United Nations.
Appointment Committee
The Appointment Committee helps the Supervisory Board prepare for its decision-making in
relation to the composition of, and appointments and re-appointments to, the Supervisory
Board and the Executive Board. The Committee also advises the Supervisory Board on senior
management appointments at Rabobank and its affiliated entities, and addresses the full
spectrum of management and talent issues in preparation of their discussion in Supervisory
Board meetings. Finally, the Appointment Committee discussed appointments and
re-appointments to the Supervisory Board.
Remuneration Committee
The Remuneration Committee helps the Supervisory Board prepare for its decision-making
in relation to the remuneration of the members of the Executive Board and the remuneration
policy for members of senior management. It also keeps close track of remuneration policies
pursued in the external market and advises the Supervisory Board on how to apply the
guidelines for remuneration policy in the banking sector. In 2011, operating within the
parameters of the remuneration policy adopted by the Central Delegates Assembly and based
on the evaluation of the performance by the Executive Board and its individual members,
the Remuneration Committee conducted an extensive review of the remuneration proposals
(including those for variable pay) for the individual members of the Executive Board.
